Banking News

The prospect of record low savings rates continuing is forcing many savers to review how they allocate their capital in an attempt to achieve the level of returns they have previously enjoyed. Investing in the stock market inevitably involves putting your capital at risk however there is a middle ground which continues to attract increasing interest – the structured deposit. With this in mind, we take a deeper look at this savings alternative to help understand why more and more savers are starting to see their appeal. more

With the current economic environment asking savers far more questions than it gives answers, it is good to know that there are alternatives available. We take a look at one such alternative that is proving particularly popular as savers face the harsh reality that the more traditional fixed rate savings products are failing to meet their needs. more

Millions of savers are facing the harsh realisty that there is little hope of change to interest and savings rates in the coming years. However, those with Cash ISAs do have one further option to consider – the ISA transfer. We take a closer look at why this is becoming a rising trend as well as what this could mean for those looking for the potential to improve the returns from their capital. more

With so many savers joining income investors in the hunt for high yields, being able to quickly understand and compare the numerous options available has become even more important. We therefore compare two of our most popular income investments to help understand what is driving their popularity and why they might meet your income needs. more

FSA decision to further delay bank charges claiming process is "prejudicial to the consumer"

24 July 2008 / by Rachael Stiles

Commenting on the decision by the FSA to maintain the freeze on reclaiming bank charges for a further six months, James Caldwell, Director at FairInvestment.co.uk said, "Consumers shouldn't have to wait any longer to claim their money when they have the law on their side.

"The test case was intended to help clarify the lawful status of bank charges. Local courts were receiving thousands of claims for bank charges but there was much uncertainty and inconsistency regarding who was in the right.

"The result of the test case was that High Court judge Mr Justice Andrew Smith said that the bank charges are liable for testing under unfair terms and conditions rules. Many feel that for the FSA to delay the claiming process even further is prejudicial to the consumer."

"In appealing the test case, banks are having their cake and eating it. While customers wait around for the appeal to be heard and a further decision to be made, the banks continue to rake in as much as £40 each time a customer exceeds their agreed overdraft or slips into the red without an overdraft in place, making as much as £3billion a year."

FairInvestment.co.uk works with specialist claims company Claims Financial. Brad Askew, Managing Director at Claims Financial added: "If consumers have to wait another six months to reclaim bank charges, then I see no reason why the situation should not be reciprocal.

"The banks should also be subjected to this hiatus, and not allowed to implement any further bank charges until consumers can claim their money back."

Mr Askew urges customers to continue sending in their claims forms as soon as possible, because this will put pressure on the courts and the banks, in the hope that it will help bring about a result which will be of most benefit of the consumer.

"Just because the FSA has prolonged the reclaiming process doesn't mean you can't put your claim in" Mr Caldwell concluded. "That way, you will have all the paperwork in place and be further up the queue for getting your money back if the consumer eventually emerges victorious."